When I woke up this morning, as the saying goes, I felt like
I was shot at and missed and shit at and hit all over. The
wife had a bad cold all weekend and with the help of over the
counter products appeared to be over it yesterday. She must be
as I have it now.
And I had a thought. Perhaps you’ve heard those who predict
gloom and doom upon certain industries have been stating that
the auto makers aren’t going to be around much longer. Their
reasoning is autonomous cars will replace what we now drive
and none of the big three are up to speed on self-driving
Yet we wonder. They may be in trouble but what if it’s
because of the way they sell cars? Sub-prime loans adjusted
for a long term of repayment offered to almost anyone who will
sign on the dotted line. And the lease programs.
Some dealers offer payment plans of 72 months now. Yes, a
full six years. We’ve all heard the “no down payment”. “no
payment for six months” commercials. And sales have been good.
Most people don’t think leasing is a problem. Think of this,
when the lease term is up the dealer is flooded with used
vehicles. Not trade ins, the vehicles they leased out. We have
seen this ourselves.
We don’t know what’s going on but being someone old enough to
remember a while back we wonder where all the old cars are?
In the 60s if you pulled into a parking lot you would see
cars from 40s, 50s, and 60s. In the 70s in the same lot you
would find cars from the 50s, 60s, and 70s. And there were
just as many older cars as newer.
Fast forward to today and pull into a parking lot. You’d be
hard pressed to find a car from the 90s. Did the cars that
are too new to be considered antique just self destruct? Now
I’ve things to do so enjoy the rest of our Tuesday.
Comments are always welcome.